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Notes

This formula allows us to move from €/month to kWh/year: kWh costs x cents per month over 12 months.

This figure is taken from the surveyof heating and cooling networksbased on 2021 data, which gives a figure of €80 excluding VAT/MWh.

The heat and cooling sales price survey for 2019

gave a figure of €74.6 excluding VAT/MWh and €79.3 including VAT/MWh, with a median of €82.3 including VAT/MWh.

As a first approximation, we have therefore chosen to base ourselves on the average for 2021, keeping the 2019 ratio and converting it to VAT, which gives a value of €85 incl. VAT/MWh (this is not just a 5.5% or 20% rate, as the application of these rates varies according to the proportion of green energy in the heating network mix, vAT at 5.5% is applied to networks containing more than 50% renewable and recovered energy).

This is an average value with a relatively large standard deviation. Nevertheless, the survey states that "the average selling prices of heating networks vary widely, with 89% of the heat delivered sold at a price between -30% and +30% of the national average".

How is this figure calculated?

  • 0.085

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